US Peterson Research Institute “Upgrade to 5.6% this year’s global economic growth rate”

Input 2021.04.04 09:20 | Revision 2021.04.04 09:20

U.S. with high-speed vaccines expected to grow by 6.5% this year

The Peterson Institute for International Economics (PIIE), a major US think tank, predicts that the global economy will grow 5.6% this year. This is a slightly raised figure from last year’s forecast.

According to PIIE’s’Global Economic Outlook’ report on the 4th, PIIE recently raised its growth rate forecast based on real gross domestic product (GDP) this year to 5.6%. This is a 0.9 percentage point higher than last October’s forecast (4.7%).

By region, the forecasts for the US (4.1% → 6.3%), China (6.0% → 8.5%), and India (7.5% → 10.5%) were raised. In particular, the institute predicted that in the case of the United States this spring, economic activity will exceed the level before Corona 19.

However, the euro area (6.0%→4.4%), Japan (5.0%→2.5%), the UK (4.0%→3.8%), and Russia (3.5%→2.7%) lowered their forecasts. In particular, Brazil (0.5% → -1.0%) forecast negative growth by lowering its forecast.

The institute explained that the global economic outlook is brighter than predicted in the fall of last year thanks to the spread of vaccines for the novel coronavirus infection (Corona 19) and economic stimulus measures.

Earlier last month, the Organization for Economic Cooperation and Development (OECD) also raised its forecast for this year’s global economic growth from 4.2% to 5.6%. In addition, in January, the International Monetary Fund (IMF) raised its growth rate forecast from 5.2% to 5.5%.